Samsung Heavy Industries Company, based in South Korea, has announced its plan to raise US$985.22 million to combat deep losses incurred during the industry downturn, reported Reuters.
The Samsung conglomerate company reported a loss of $248.37 million in Q2, 2016.
Park Dae-young, Samsung Heavy Chief Executive said: “We decided to pursue a rights issue in order to respond proactively to uncertain market conditions and secure funding for the company's operations in a stable manner.”
Earlier in April, 2016, PTI reported that the South Korean Financial Services Commission (FSC) had announced a major ‘three-track’ system of corporate debt restructuring on some of the country’s biggest shipping and shipbuilding companies, including Hyundai Merchant Marine, Hanjin Shipping, Hyundai Heavy Industries and Samsung Heavy Industries due to regional industry losses.
Daewoo Shipbuilding and Marine Engineering also suffered larger losses than expected in Q2, 2016.